PTON Eyes New Competitor in the Virtual Fitness Arena

The equity is trying to snap its five-day skid

Digital Content Manager
Aug 13, 2020 at 10:46 AM
facebook X logo linkedin


Peloton Interactive Inc (NASDAQ:PTON) is trying to recoup its earlier losses, up 0.7% at $64.83. Investors today are eyeing a Bloomberg report that Apple (AAPL) is about to enter the at-home fitness space. According to this report, the company plans on developing a virtual fitness class subscription, which could eventually serve as direct competition to the stationary bike manufacturer. 

The stock could snap its five-day skid today, brought on by a pullback from its early August high of $73.21. While the equity just breached support at its previously supportive 20-day moving average, it appears to be testing the strength of the 40-day moving average, which helped stabilize the security back in April. 

A look at analyst sentiment shows extreme optimism still. Twenty-two of the 25 in coverage consider PTON a "buy" or better, while the 12-month consensus price target of $62.87 is right in line with last night's close. 

This feeling is reflected in the options pits, too, where 37,784 calls have been exchanged in the last two weeks, more than doubling the 17,446 puts traded in the same time period. That being said, Peloton's options can be had at a premium right now. This is per the equity's Scaheffer's Volatility Index (SVI) of 63%, which sits higher than just 7% of readings from the past 12 months. This suggests options players are pricing in relatively low volatility expectations at the moment. 

 

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI